The DOJ recently entered into its first deferred prosecution agreement with a financial institution related to the LIBOR-fixing conspiracy. We’ve written about the LIBOR scandal here and here. While deferred prosecution agreements are common in white collar criminal prosecutions, this was a first for the DOJ in an antitrust prosecution. Instead, the DOJ historically has used its leniency program as its primary investigative tool. In a recent Client Alert, Cadwalader, Wickersham & Taft explains the DOJ’s recent shift and its implications for financial antitrust enforcement.
Many large corporations are sitting on stockpiles of cash. Options for these companies include investing the money, returning it to investors through dividends, or a stock buyback program. Holding on to the stockpile can pose serious headaches for corporations. In a recent Corporate Finance Alert, Skadden explains the strategic considerations for different types of share-repurchasing programs, including their advantages and legal implications. The Alert also presents an FAQ-style, how-to guide for implementing the various options.
Wilson Sonsini recently published its “Entrepreneurs Report: Private Company Financing Trends.” From the Report: “[T]he percentage of up rounds increased during Q4 2012 from the prior quarter. Also, while median pre-money valuations in Q4 declined somewhat from earlier in the year, they still remained higher than those in 2011 and 2010. Finally, preferred stock terms continued to be more company-favorable in 2012 than in prior years. For example, the percentage of deals with senior liquidation preferences was lower in 2012 than in 2011 and 2010, and the percentage of deals with non-participating preferred stock was higher in 2012 than in the two prior years. In sum, although total venture dollars raised in 2012 decreased from the previous year, the venture funding environment continues to be strong for entrepreneurs and early-stage companies.”
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